1.2 Types of Organisations

Which of the following is an advantage of a Sole Trader organisation structure?

• Limited Liability

• Unlimited Liability

• Owner keeps all profits

• Lack of continuity if the owner dies

Which of the following businesses belongs to the Public sector?

• Amazon

• Konsum

• Adidas

• Leipziger Verkehrsbetriebe

A business owned by two or more people with shared capital, investment and responsibilities.

• Sole Trader

• Partnership

• Public Limited Company

• Private Limited Company

A limited company can sue and be sued by other companies in court

• True

• False

Which type of company sells shares on the stock exchange?

• Public Limited Company

• Private Limited Company

• Cooperative

• Social Enterprise

Which of the following companies have shareholders?

• Public Limited Company

• Private Limited Company

• Partnership

• Sole Trader

• Non-Government Organisation

Which of the following organisational types have unlimited liability?

• Private Limited Company

• Public Limited Company

• Sole Trader

• Partnership

What does IPO stand for?

• Internal Production Operations

• International Public Organisation

• Interest Per Opportunity

• Initial Public Offering

A % of profits paid to shareholders at the end of the financial year is called

• Interest

• Limited Liability

• Dividend

• Equity

An advantage of being a Private Limited Company is...

• Ability to raise capital selling shares on the stock exchange

• Unlimited Liability

• Directors are influenced by short-term goals of major investors

• Ability to choose who can buy shares in the company